The consumer writing into this site is applying for a small loan of only $2100 to help him and his wife avoid eviction. They got behind on his rent payments and now owes his landlord three months of overdue rent payments. They have managed to save enough for the coming month, but need to make good on the overdue rent to avoid eviction.

Both his wife and himself have minimum wage jobs and are working overtime to make more money to make up what they owe. He lost his job a few months ago which is what put them behind on the rent. They chose to pay their utilities, put food on the table and to repay a small balance they had on their credit card. From a credit rating perspective, this was probably a good strategy since these companies will quickly make reports to credit agencies if there is a missed payment. Landlords are a little more forgiving. In this situation, the consumer’s landlord is threatening eviction but has not made any reports to credit agencies. He knows they work hard and is trying to give them a break.

In terms of being approved for a loan, he stands a pretty good chance that he and his wife will be approved for this small loan. They still have a good credit rating; they both work although making minimum wage. They also have a zero balance on their credit card and have a good record of paying their credit card bills.

As an alternative, if they cannot get approval for a loan at a decent interest rate, they are planning to take a credit card advance on their credit card. They really want to stay where they are and do not want to move. They know that the interest rate will be 21%, which is very high, however they plan to repay the full amount within three months to minimize the interest. This is their backup plan if a loan is not approved for them.

Based on their credit rating, they are both working and making overtime to repay their debt they are considered a good credit risk. They likely will be picked up by a lender offering terms that will be better than their backup plan of using a cash advance from their credit card.

ALABAMA law code states the maximum interest lenders can charge is 6% while the maximum usury limit is 8%. Percentage rate for judgment can be as high as 12%.

ALASKA law code states the maximum interest lenders can charge is 10.5% while the maximum usury limit is more than 5% above the Fed Reserve rate on the date the loan was made.

ARIZONA law code states the maximum interest lenders can charge is 10%.

ARKANSAS law code states the maximum interest lenders can charge is 6% – max usury limit 5% above the Fed Reserve’s rate – for consumers a usury limit is 17%. Judgments accumulate interest at the rate of 10% per year or the legally agreed rate – whatever is more.

CALIFORNIA law code states the maximum interest lenders can charge is 10% for consumers – max usury for non-consumers is 5% more than the Fed Reserve Bank of San Francisco’s rate.

COLORADO law code states the maximum interest lenders can charge is 8% while the maximum usury limit is 45%. The max rate for consumers at 12% per year.

CONNECTICUT law code states the maximum interest lenders can charge is 8% – general usury rate is 12%. When civil suits accumulate allowed interest it’s 10%.

DELAWARE law code states the maximum interest lenders can charge is 5% higher than the Fed Reserve rate.

DISTRICT OF COLUMBIA law code states the maximum interest lenders can charge is 6% while the maximum usury limit is 24%.

FLORIDA law code states the maximum interest lenders can charge is 12% while the maximum usury limit is 18%. Loans higher than $500K max rate equals 25%.

GEORGIA law code states the maximum interest lenders can charge is 7% – loans below $3K the usury limit is 16%. On loans above $3K, the limit is 5% monthly. For loans under $250K the rate must be detailed in “simple interest”. Documentation is required.

HAWAII law code states the maximum interest lenders can charge is 10%. Usury limit for consumers is 12%.

IDAHO law code states the maximum interest lenders can charge is 12%. Judgments accumulate interest at 5% higher than the U.S. Treasury Securities rate.

ILLINOIS law code states the maximum interest lenders can charge is 5%. The usury limit is 9%. The judgment rate is 9%.

INDIANA law code states the maximum interest lenders can charge is 10%. The judgment rate is also 10%. Max interest rate for financing under $50K at 21%

IOWA law code states the maximum interest lenders can charge is 10%. General consumer-based transactions the max rate is 12%.

KANSAS law code states the maximum interest lenders can charge is 10% while the maximum usury limit is 15%. Judgments accumulate interest at 4% above the federal rate. For consumer transactions the max rate on the first $1K is 18% – higher than $1K it’s 14.45%.

KENTUCKY law code states the maximum interest lenders can charge is 8% while the maximum usury limit is more than 4% more than than the Fed Reserve rate or 19% – whichever is less. On loans above $15K there is no limit. Judgments accumulate interest at a rate of 12% compounded yearly or at the rate deemed by the Court(s).

LOUISIANA law code states the maximum interest lenders can charge is one% over the avg. prime rate. Can’t exceed 14% or be less than 7%. Usury limit for consumers is 12% and no limitation for corps.